Understanding the Business Environment

What is the primary purpose of a service-based organisation?

• To manufacture goods

• To provide a service

• To compete with other businesses

• To supply raw materials

Which department in an organisation is primarily responsible for hiring and training employees?

• Marketing

• Finance

• Human Resources

• Logistics

How does digital technology support automated stock control in businesses?

• By using manual inventory checks

• By employing software and hardware systems

• By increasing the number of employees

• By reducing the need for suppliers

Which of the following is a key area where IT supports organisational functions?

• Gardening

• Research, Design and Development

• Construction

• Catering

What is the role of the Finance department in an organisation?

• To manage employee relations

• To oversee financial transactions and budgeting

• To design new products

• To handle customer complaints

Which factor is NOT typically considered a driver for the use of digital skills technologies in business?

• Social factors

• Political factors

• Geological factors

• Technological factors

What is the main purpose of a product-based organisation?

• To provide a service

• To manufacture and sell goods

• To offer consultancy

• To provide legal advice

Which stakeholder is primarily concerned with the quality and price of a product?

• Government

• Supplier

• Customer

• Competitor

How can digital technology assist the Marketing department of an organisation?

• By automating payroll

• By analysing customer data for targeted advertising

• By managing employee benefits

• By scheduling deliveries

Which of the following is a legal factor that can influence the use of digital technologies in business?

• Employee preferences

• Data protection regulations

• Weather conditions

• Cultural trends